Chris Lombardi puts defense and security under the spotlight, as he shares his takes on recent NATO and EU cooperation and provides insight into the company’s own long-term strategic partnerships in Europe.

Three trends are currently driving the global electricity sector: decarbonization, decentralization and differentiation. Utilities are making significant contributions to mitigate carbon emissions, while a technology revolution is …

EU’s handling of Intel case criticised

The European Commission today refused to comment directly on criticism by the EU’s ombudsman that the Union’s competition authorities failed to keep full records of evidence that could have weakened its argument that Intel abused its position as the world’s largest chip-maker.

A spokesman said that the Commission “fully respected” Intel’s “right to defence” in the dispute over a €1.06 billion fine imposed on Intel this May, but said the EU executive had “no comment” on the leak of a report in which the European Ombudsman criticises the Commission for “maladministration” in its investigation of the case.

The report by the ombudsman, P. Nikiforos Diamandouros, has yet to be submitted, but the Wall Street Journal wrote on 8 August that a draft it had seen criticised the EU’s officials for not keeping minutes of a meeting with an executive of the computer-maker Dell that provided “potentially exculpatory” evidence in the case.

The Dell executive told EU officials in August 2006 that the company had opted for Intel semi-conductors in its computers because those of its principal rival, Advanced Micro Devices (AMD), were “very poor”.

According to the ombudsman’s draft report, details of the discussion with the Dell executive were noted merely in an “aide memoire” compiled six days later.

Though the details of the discussion, which the Commission has reportedly refused to call an “interview”, remain unclear, it potentially undermines the argument by the Commission that computer-makers, wholesalers and retailers opted for products using Intel’s central processing units (CPUs) for reasons other than their quality.

Announcing the fine in May, Neelie Kroes, the European commissioner for competition, said that Intel had gone “to great lengths to cover up… anti-competitive actions” that included paying computer-makers, wholesalers and retailers to postpone, cancel, avoid or reduce the purchase of AMD chips entirely.

The Commission’s decision followed an investigation lasting nearly eight years.

Intel is currently seeking to overturn the fine at the European Court of First Instance. In July, it also filed a case against the Commission, alleging that it had violated its rights. Details of that suit have not been disclosed.

The ombudsman’s report has no direct bearing on either case.

Intel has argued that the discounts and conditions were legal and elements typical of deals involving bulk orders of products.